Santa Clara, CA-based cloud management and optimization firm Botmetric has raised $3 million in Series A funding. The funding round was led by the Draper Venture Network Fund, Blume Ventures. Botmetric plans to use the investment to expand its operations in North America and the Asia-Pacific regions and enhance its intelligent cloud automation and management tools.
There is a major trend that is seeing organizations shift their infrastructure to the cloud and adopt IaaS, while the popularity of Software-as-a-Service (SaaS) is also growing. Growth in cloud use is expected to increase by 18% in 2017, with similar growth estimates predicted for 2018.
However, the management of cloud services is far from easy and the more complex cloud environments become, the more potential there is for wastage. Businesses typically end up spending far more than necessary with capacity rarely matching utilization. Additional capacity is paid for but not fully utilized, and since cloud instances are charged by the hour or minute, the costs from cloud waste can be considerable if resources are not properly managed.
It is this wastage that has seen an explosion in the number of cloud management services now being offered. Typically, these cloud management and optimization services can see businesses save more than 50% on their cloud bills. Consider that enterprises are spending, on average, close to $200,000 a year on the cloud, the cost savings can be considerable.
Botmetric was formed in 2014 to help businesses manage their cloud use and optimize their cloud environments to eliminate wastage. The company has developed a range of cloud optimization and management tools for Amazon Web Services (AWS) and Microsoft Azure. The firm’s platform incorporates machine learning to analyze past usage and predict future cloud requirements. The platform includes advanced automation tools that allow businesses to switch on and turn off cloud resources to closely match the needs of the business. Constant assessments generate alerts about cloud issues that take a single click to fix.
By using its tools, Botmetric customers typically save up to 35% on their cloud costs and significantly reduce cloud management overhead, helping to increase productivity.
“We believe that engineers should work to solve new problems rather than known problems. Botmetric is helping organizations to realize their cloud infrastructure potential while letting engineers sleep peacefully,” said Vijay Rayapati, CEO of Botmetric. “This investment will empower us to increase product R&D for improved cloud operations intelligence and drive our go-to-market strategy for the US.”
“Cloud management and optimization present an enormous opportunity for B2B startups, and we’re thrilled to help Botmetric establish a dual-base global presence in Silicon Valley while leveraging the talent and scale advantages of Bangalore,” said Sanjay Nath, Managing Partner of Blume Ventures.